You can often get higher than advertised rates at your local branch if you do your homework. Print out our "Highest CD Rate Survey" and bring it in with you. Print out some of the advertisement of rates advertised on your bank's competing web sites so you have proof.

Bottom line: It never hurts to ask the teller if better rates are available when you do your homework!

You can often get higher than advertised rates at your local branch if you do your homework. Print out our "Highest CD Rate Survey" and bring it in with you. Print out some of the advertisement of rates advertised on your bank's competing web sites so you have proof.

Bottom line: It never hurts to ask the teller if better rates are available when you do your homework!

Many people like to have all their investments summarized on a single, monthly statement. Also, they don't want to open accounts at numerous banks all over town so they stay under the current $250,000 FDIC and NCUA limits. For a small fee, usually a fraction of a percent of the interest you are paid, brokers like Fidelity and Schwab will buy CDs for you and track them in your monthly statement.

Here is an example of CDs, rates and terms currently available at Fidelity.

Banks often offer better rates if you deal directly with them since they will have an opportunity to sell you another CD when your CD with a special rate matures. For example, the 2-year CD from Discover Bank only pays 0.90%. Go directly to Discover Bank and you can get 2.50%!

Wednesday, July 8, 2009

The top rates for CDs this week are at Pentagon Federal Credit Union (fondly known as PenFed CU) for 7-year certificates of deposit that currently pay 4.00% APY.

For shorter term, NewDominionDIRECT , has a 1-year CD with a 2.26% annual percentage rate.

With rates so low, banks will try to sell you their annuity products. Make sure you read our article: Beware of AnnuitiesThe table below shows the best CD rates for other terms. If that table is hard to read, then try Very Best CD Rates.

Wednesday, July 1, 2009

Yesterday, the Federal Home Loan Bank of San Francisco announced its 11th District Cost of Funds Index surged 33% in May to 1.832% from its record April 2009 low of 1.38%. The data was made available on June 30, 2009.

According to the Federal Home Loan Bank of San Francisco:

The 11th District Monthly Weighted Average Cost of Funds Index (COFI: 11th Districty Cost of Funds Index History ) is one of many indices used by mortgage lenders to adjust the interest rate on adjustable rate mortgages. The COFI is computed from the actual interest expenses reported for a given month by the Arizona, California, and Nevada savings institution members of the Federal Home Loan Bank of San Francisco that satisfy the Bank's criteria for inclusion in the COFI.

You can often get higher than advertised rates at your local branch if you do your homework. Print out our "Highest CD Rate Survey" and bring it in with you. Print out some of the advertisement of rates advertised on your bank's competing web sites so you have proof.

Bottom line: It never hurts to ask the teller if better rates are available when you do your homework!